China's FingerMotion ( NASDAQ: FNGR ) jumped 13.2% Wednesday alongside an appearance at the virtual Emerging Growth Conference, capping off a month where the micro-cap stock vaulted more than 1,000% .
That run-up is likely due to covered short sales, CEO Martin Shen said in his presentation. "In the market for our particular stock, there has been some significant pressure; perhaps that is short pressure that has been hitting us for a couple of months, and perhaps shorts are trying to cover now.
"I'd like to think the stock price is rising because of our significant announcement of our partnership with PacLife we recently put out, also the introduction of device protection ," he added.
The company offers mobile payment and recharge platform solutions - "topping up" mobile minutes and services - as well as discounted "texting bundles" of SMS and MMS to corporate partners. It's also playing in Rich Communications Services platforms in the medium term, and long-term it says it can provide "big data" insights.
The company crossed $70M in gross transaction value (not revenue) in June 2019, the same month it moved more than 150M SMS transactions.
Recent financing the company received of $4M from Lind Partners wasn't on optimal terms, Shen said. Now, "we can be more selective in our financing that we procure in the future. And it might be debt financing, it might be equity or it might be a mixture of both."
FingerMotion ( FNGR ) stock is up another 2.4% after hours.
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FingerMotion jumps 13% alongside presentation, capping ten-bagger month